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Check this out apple share price if you look at it over the past decade has doubled.
Five times over the last ten years a candidate company continue to grow at such a fast pace.
Our next guest thinks so he says it's very possible that apple shares could hit 8000.
Dollars and shared joining.
Us now with his bullish case on apple shares -- how Smart money dot convert -- piece in the Wall Street Journal and Jack when everybody says.
When everyone's things.
There are people out there who say you should -- we've seen such a tremendous run up an apple shares what is going to make the ride continue.
All the way to a thousand dollars a share.
-- it it's already the biggest company right but it's growing so fast as one and also talk of -- people investors are starting used to dealing with a company this big it's growing this past profits doubled last -- So if you look back -- other examples of very large companies look at Microsoft in 1999 right.
Got up to around 600 billion dollars in market value now for apple will double from here it would have to get up to nine billion.
But if you just Microsoft for inflation -- 900 billion maybe just Microsoft inflation you're already at 800 billion who was close.
And and that was a company that controlled 90% of the market for its operating Citi our system software the time.
Apple's -- about a quarter of the market for Smartphones for mobile computing -- have a lot more to gain I think there's definitely case we made that it could double.
I just don't know how aggressively you want to bet at an investor right now.
It's also making an assumption that it is the only game in town and the Microsoft really was the only the only game in town that's why it essentially got a monopoly in the business at -- today and I just doing a report on -- grade.
Phones a hundred them -- coming out at this -- mobile conferencing and Barcelona and it's got a price point.
That's a sixth of what the iPhone is being sold out there -- -- it it says it's -- strong and bullish case.
In an arena where there -- so much competition.
-- definitely has the room to double again and the question is can it do it.
If you look at the history on companies that have been the leaders in their sector of the largest companies -- -- sector buy stock market value.
It's a -- one in terms of future stock performance they tend to underperform.
Performed peers by about three percentage points a year over the following decades of the top dogs don't continue outperforming forever apple would have to beat those odds.
God -- -- -- there there's a point where you go from being just this amazing wrote.
To just a solid maybe cash machine but not a growth stock anymore I mean isn't that what we're talking about when this when you can no longer call apple a growth stock.
Maybe that's when you start to lose some of -- valuation -- -- -- -- -- -- -- that happens with every company right but here's a company that seldom if 73%.
Sales growth in its most recent quarter so.
You know the growth -- sole fact that it's actually it actually has accelerated over the over the past few years so.
It's really astonishing growth I agree we -- but I have to slow down at some point I think investors also have to take a look at their exposure you're thinking about buying shares here right.
Let's be careful apple is already 4% of the S&P 500 it's 6% of that's beef up our profits.
And it's full of the upside surprise for earnings that would this past quarter if you didn't have apple he didn't have earnings that pleasantly surprised investor.
I also think that -- that this is predicated on net in the invention of something that we've never seen before as well we haven't Catholic come out we -- an iPhone fluorescent in what it.
Could apple possibly -- up that we haven't seen yet that's on the horizon that could be catalysts as well.
That's what it does right it doesn't does dominate the things that people expected to solve it that it creates a whole new market so.
You know -- did that with the with the with the Smartphones at the W iPods -- -- that do simply with the tablets now people are talking about television that there could be a television device.
I'm coming down the road so world that happen I don't know maybe to be something altogether.
Differ may do eyeglasses eyeglass shoe phones I don't know what it -- come out of my technology -- Continent yeah yeah.
Max let's look again yeah you're son that's where I guess our plan that the futures -- and Jack -- Smart money dot com thanks for being.
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